Joe Kowalski Invents a New Product,and This New Product Becomes

question 49

Multiple Choice

Joe Kowalski invents a new product,and this new product becomes cheaper over time.This can be problematic because

• A) the consumer price index (CPI)will include Joe's new product immediately if it is a consumer good,but as a consumer good,it will not be included in the gross domestic product (GDP)deflator.
• B) the percent change in the consumer price index (CPI)will be distorted,but the change in the gross domestic product (GDP)deflator will not be,regardless of whether the product is a consumer good or a producer good.
• C) it is unlikely the consumer price index (CPI)will include Joe's new product immediately,even if it is a consumer good.
• D) money illusion will cause consumers to buy more of this good than the consumer price index (CPI)would otherwise reflect.
• E) this good might be produced in a geographic location that is not included in the consumer price index (CPI).

---

Definitions:

Proofreading A Message

The process of carefully reviewing a written message for errors in grammar, spelling, punctuation, and formatting before it is shared.

High Quality Message

Pertains to communication or information that is clear, accurate, and effectively conveys the intended content or sentiment to the recipient.

Channel And Media

Various methods or platforms through which communication and information are transmitted and distributed.

Attractive Appearance

The aspect of something being visually appealing or pleasing in its physical look or design.